BlackRock's IBIT Sees $970.9M Inflows, Becomes 33rd Biggest ETF

BlackRock’s IBIT, the largest spot Bitcoin ETF by net assets, attracted a significant $970.9 million in net inflows on Monday, marking its second-largest inflow since its launch in January 2024. This substantial inflow has propelled IBIT to become the world’s 33rd-biggest ETF, encompassing both crypto and traditional finance-based ETFs. The fund's rapid growth has been unprecedented, reaching $55 billion in assets faster than any other ETF in the industry’s 32-year history. This figure accounts for 51% of the total spot BTC ETF market share, highlighting its dominance in the market.

Despite the impressive inflows into IBIT, the price of Bitcoin remained relatively stagnant, hovering around $95,000 on Tuesday. This price lull comes as investors await critical data releases this week, which may indicate how U.S. President Donald Trump’s economic tariffs are impacting inflation and the economy. The world’s oldest and largest cryptocurrency was recently priced at around $94,951, reflecting a meagre 0.2% increase over the past 24 hours. This price movement contrasts with the significant inflows into spot Bitcoin ETFs, which totaled over $590 million on Monday, extending a seven-day positive streak.

While IBIT experienced substantial inflows, other spot Bitcoin ETFs faced net outflows. Ark Invest’s ARKB witnessed net outflows of $226.3 million, and Fidelity’s FBTC bled $87 million in investor money. Other funds, including Grayscale’s GBTC, VanEck’s HODL, and Bitwise’s BITB, also lost money. This divergence in performance underscores the varying investor sentiment towards different Bitcoin ETFs. The latest inflows into spot Bitcoin products topped $3 billion last week, marking the highest such value since November 2024. Overall, these inflows provide fundamental support that could fuel bullish momentum for a sustained rally.

Asset manager ARK Invest recently raised its bull case Bitcoin price target to $2.4 million from $1.5 million by the end of 2030, driven largely by institutional investors and Bitcoin’s increasing acceptance as “digital gold.” This forecast reflects the growing institutional interest in Bitcoin and its potential as a store of value. The significant inflows into IBIT and the overall positive sentiment towards Bitcoin ETFs suggest that institutional investors are increasingly viewing Bitcoin as a viable investment option. However, the stagnant price of Bitcoin indicates that investors are cautious and are waiting for more clarity on economic indicators before making significant moves.